Common use of ABLE TO BEAR RISK; SOPHISTICATED INVESTORS Clause in Contracts

ABLE TO BEAR RISK; SOPHISTICATED INVESTORS. INFORMATION. The Stockholders represent and warrant that they are able to bear the economic risk of an investment in Parent Stock acquired pursuant to this Agreement and can afford to sustain a total loss of such investment. They further represent and warrant that they (i) fully understand the nature, scope and duration of the limitations on transfer contained in this Agreement and (ii) have such knowledge and experience in financial and business matters that they are capable of evaluating the merits and risks of the proposed investment and therefore have the capacity to protect their own interests in connection with the acquisition of the Parent Stock. The Stockholders represent and warrant that they have had an adequate opportunity to ask questions and receive answers from the officers of the Parent concerning any and all matters relating to the acquisition of Parent Stock as contemplated by this Agreement including, without limitation, the background and experience of the officers and directors of the Parent, the plans for the operations of the business of the Parent, and any plans for additional acquisitions and the like. The Stockholders have asked any and all questions in the nature described in the preceding sentence and all questions have been answered to their satisfaction.